ACE Limited last night posted record second quarter income of $573 million, a 23 percent increase from $467 million posted in the second quarter of 2005.

Second quarter 2006 operating earnings were $579 million or $1.74 per share. Ace was expected to earn $1.58 a share, according to the average estimate of 19 analysts in a Thomson First Call survey.

Evan Greenberg, President and Chief Executive Officer of ACE Limited said premium growth in the quarter reflect global market conditions ? which remain favourable but mixed.

?We have a broad geographic and product reach and take a balanced approach to our business ? capitalising on opportunities when they make economic sense and walking away from business when it does not,? he said.

Ace shares closed at $52.61, up 55 cents or 1.06 percent on a volume of 1.5 million shares on the New York Stock Exchange